Heliostar Metals Ltd. — Regulatory Filings 2021

Jul 13, 2021

TSX.V: HSTR OTCQX: HSTXF

==> picture [240 x 46] intentionally omitted <==

Heliostar Drills Multiple Gold and Base Metal Intercepts at Apollo, Unga Project, Alaska

Vancouver, Canada, July 13[th] , 2021 – Heliostar Metals Limited (TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1) ( "Heliostar" or the "Company" ) is pleased to announce results from nineteen additional drill holes completed at the Apollo target at the Unga project in 2021. The Company has three drill rigs active on the project and has completed 52 holes for a total of 5,724 metres to date.

Drilling Highlights at Apollo

• SKRC21-10

o 9.81 grams per tonne (“g/t”) gold over 1.52 metres from 89.9 metres (‘m’) downhole

• APSRC21-06

o 7.00 g/t gold over 1.52 m from 68.6 m downhole

• APSRC21-08

o 2.04 g/t gold equivalent (“AuEq”) over 22.9 m from 93.0 metres downhole including; ▪ 5.63 g/t Aueq over 3.05 m from 109.7 m downhole

• SKRC21-04

o 7.07 g/t AuEq over 1.52 m from 39.6 m downhole and;

• 4.32 g/t AuEq over 1.52 m from 54.9 m downhole

Heliostar VP of Exploration, Sam Anderson, commented: “The Apollo target continues to deliver strong gold and base metal hits in this year’s drilling. These results grow the strike extent to 745 metres with mineralized intercepts, a subsection of the broader two kilometre-long trend. Drilling is ongoing at Apollo and assays from eight completed holes remain pending. The Company is continuing its fully funded, three drill program and in 2021 will complete more metres of drilling on Unga Island, outside of the SH-1 resource area, than has been completed in the entire 135-year history of the project. The Company is focused on revealing the district-scale potential of the property with the current program.”

Apollo Details

Drilling has continued at Apollo with a focus on the Shaft 2 and Sitka Mine shaft areas. At Shaft 2, multiple veins have been intersected with a main vein defined over 365 m of strike and 100m of depth. Mineralization varies from gold-dominant (APSRC21-02, APSRC21-06) to base metal-dominant (APSRC21-08) and appears to change rapidly over short intervals. Controls on mineralization are not yet well understood but intercepts remain open to depth and to the west.

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

At Sitka multiple sub-parallel veins also occur, though a main vein aligns with the shallow stope and with mineralization defined over 385m of strike and 100m of depth. Mineralization also varies from gold-dominant (SKRC21-10) to base metal-dominant (SKRC21-04 and SKRC21-05). In the far east of the Sitka target, a fault appears to offset mineralization between hole SKRC21-08 and SKRC21-10 (Figure 1). Mineralization remains open to depth and to the west, and structural controls remain to be better understood.

High grade gold has been intersected over a strike length of 745m at Apollo and results from the remaining eight completed holes with assays pending will be used to refine the mineralization controls. Follow-up diamond drilling is a clear priority given the widespread nature of the intercepts and to test the along strike and deeper targets indicated by historic exploration shafts and tunnels.

==> picture [483 x 342] intentionally omitted <==

Figure 1: Plan map showing location of the Heliostar and historic drilling at the Apollo prospect.

Apollo Drill Results Table

Drillhole	From (m)	To	Interval	Gold	Silver	Lead	Zinc (%)	AuEq (g/t)
		(m)	(m)	(g/t)	(g/t)	(%)
* APSRC21-01	0.0	1.5	1.50	1.19	2.85	-	-	1.22
*** APSRC21-02**	21.34	24.38	3.05	88.3	18.91			88.5
*** Incl.**	21.34	22.86	1.52	172.5	36.9	0.15	0.23	173.0

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

	Drillhole	From (m)	To (m)	Interval (m)	Gold (g/t)	Silver (g/t)	Lead (%)	Zinc (%)	AuEq (g/t)
	* APSRC21-03	41.15	42.67	1.52	1.01	3.4	-	-	1.06
	APSRC21-04			No significant results
	APSRC21-05			No significant results
	APSRC21-06	68.58	70.10	1.52	7.00	5.22	-	-	7.07
	APSRC21-07			No significant results
	APSRC21-08	92.96	115.82	22.86	0.031	9.88	1.21	3.24	2.04
	including	109.73	112.78	3.05	0.038	35.6	5.87	6.54	5.63
	APSRC21-09			No significant results
	APSRC21-10			No significant results
	APSRC21-11			No significant results
	APSRC21-12			No significant results
	APS21-08	122.53	124.0	1.47	1.36	0.57	-	-	1.37
	SKRC21-01	27.43	30.48	3.05	0.91	2.53	-	-	0.94
	SKRC21-02			No significant results
	*** SKRC21-03**	13.72	18.29	4.57	7.98	142.3	0.18	0.20	10.0
	and	39.62	44.2	4.57	1.91	21.6	1.36	5.7	5.20
	and	54.86	65.53	10.67	8.65	20.9	0.13	0.27	9.10
	Incl.	56.39	60.96	4.57	19.3	42.7	0.13	0.27	20.0
	and	83.82	85.34	1.52	10.2	4.60	-	-	10.3
	SKRC21-04	39.62	41.14	1.52	1.76	69.1	8.85	2.19	7.07
	and	54.86	56.38	1.52	0.646	22.9	3.35	4.76	4.32
	and	88.39	89.91	1.52	0.964	4.72	0.25	0.49	1.34
	SKRC21-05	38.10	42.67	4.57	0.190	21.1	3.72	0.49	2.13
	SKRC21-06			No significant results
	SKRC21-07			No significant results
	SKRC21-08			No significant results
	SKRC21-09			No significant results
	SKRC21-10	94.49	96.01	1.52	9.81	3.69	0.03	0.12	9.92
	SKRC21-11	27.43	28.95	1.52	1.12	3.09	0.06	0.13	1.24

Table 1: Table of intersections from the Apollo prospect. Intervals reported are core lengths and true thicknesses are not known with the exception of APSRC21-02. True thickness is estimated at 77% of drilled length for APSRC21-02. Gold equivalent is calculated using the following formula: gold-equivalent = ((Au_g/t x 48.23) + (Ag_g/t x 0.6431) + (Pb_ppm x 0.0019) + (Zn_ppm x 0.0021)) / 48.23. Metal price assumptions are $1,500 per ounce gold, $20 per ounce silver, $0.85 per pound lead and $0.95 per pound zinc. *Denotes a previously released intercept.

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

==> picture [476 x 495] intentionally omitted <==

Figure 2: Plan map showing location of the Heliostar and historic drilling at the Apollo prospect.

Unga 2021 Exploration Strategy

The Company has completed 52 holes for a total of 5,274 metres since mobilizing to the property in April. There are one diamond and two RC rigs on site that are rapidly advancing the drilling program and the company expects to complete a planned 7,000 metres within the current C$6,000,000 budget.

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

To date, thirty three RC holes have been completed at Apollo and Sitka, four diamond holes and two RC holes have been completed at the SH-1 resource, thirteen RC holes have been completed at Aquila and two RC holes have been completed at the Zachary Bay porphyry target.

==> picture [482 x 259] intentionally omitted <==

Figure 3: Approximate location of 2021 drilling compared to historic longitudinal section showing depth and strike potential of the Apollo trend.

2021 Apollo Target Drilling Details

Prospect	Drillhole	Easting Northing Elevation	Azimuth (°) Inclination (°)	Total Depth (m)
Apollo	APSRC21-01	400348 6117194 22	330 -45	79.2
	APSRC21-02	400348 6117194 22	150 -45	97.5
	APSRC21-03	400367 6117161 24	330 -45	100.6
	APSRC21-04	400368 6117201 17	150 -45	62.8
	APSRC21-05	400368 6117201 17	150 -65	51.8
	APSRC21-06	400315 6117239 14	150 -45	86.9
	APSRC21-07	400316 6117141 32	330 -45	112.8
	APSRC21-08	400329 6117119 47	330 -55	121.9
	APSRC21-09	400296 6117095 52	330 -55	135.6
	APSRC21-10	400297 6117092 51	150 -45	121.9
	APSRC21-11	400263 6117067 51	330 -45	77.1

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

Prospect	Drillhole	Easting Northing Elevation	Azimuth (°) Inclination (°)	Total Depth (m)
Apollo	APSRC21-12	400263 6117064 50	330 -55	137.2
	APSRC21-13	400269 6117105 46	330 -45	123.4
	APSRC21-14	400214 6117075 53	330 -55	144.8
	APSRC21-15	400521 6117186 17	330 -45	132.6
	APSRC21-16	400521 6117186 17	120 -45	96.0
	APSRC21-17	400462 6117183 27	330 -45	93.0
Sitka	SKRC21-01	400868 6117299 59	350 -45	99.4
	SKRC21-02	400836 6117268 66	350 -45	109.7
	SKRC21-03	400826 6117325 68	350 -45	106.7
	SKRC21-04	400793 6117324 70	350 -45	96
	SKRC21-05	400772 6117301 74	350 -45	74.1
	SKRC21-06	400705 6117261 41	350 -45	74.7
	SKRC21-07	400704 6117260 41	350 -65	32
	SKRC21-08	400908 6117300 60	350 -45	121.9
	SKRC21-09	400778 6117240 57	350 -45	146.3
	SKRC21-10	400885 6117314 62	350 -45	100
	SKRC21-11	400637 6117270 29	350 -45	152.4
	SKRC21-12	400638 6117269 32	170 -45	152.4
	SKRC21-13	400570 6117239 17	350 -45	97.5
	SKRC21-14	400570 6117239 17	150 -45	74.7
	SKRC21-15	400617 6117261 28	350 -45	121.9
	SKRC21-16	400617 6117261 28	175 -45	114.3

Table 2: Apollo-Sitka drill hole details. WGS84, Zone 4 Coordinate system.

About Heliostar Metals Ltd.

Heliostar is a well-financed junior exploration and development Company with a portfolio of high-grade gold projects in Alaska and Mexico.

The Company’s flagship asset is the 100% controlled Unga Gold Project on Unga and Popof Islands in Alaska. The project hosts an intermediate sulfidation epithermal gold deposit, located within the district-scale property that encompasses 240 km[2 ] across the two islands. Additional targets on the property include porphyry copper-gold targets, high sulphidation targets and intermediate sulphidation epithermal veins.

On Unga Island, priority targets include: the SH-1 and Aquila, both on the Shumagin Trend, the former ApolloSitka mine, which was Alaska’s first underground gold mine, and the Zachary Bay porphyry gold-copper prospect.

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

Gold mineralization at the Centennial Zone is located on neighbouring Popof Island within four kilometres of infrastructure and services at Sand Point.

In Mexico, the Company owns 100% of three early-stage epithermal projects in Sonora that are highly prospective for gold and silver. Cumaro forms part of the El Picacho district, while the Oso Negro and La Lola projects are early-stage projects considered prospective for epithermal gold-silver mineralization.

Quality Assurance / Quality Control

Drill core samples were shipped to ALS Limited in Whitehorse, Yukon for sample preparation and for analysis at the ALS laboratory in North Vancouver. The ALS Whitehorse and North Vancouver facilities are ISO/IEC 17025 certified. Silver and base metals were analyzed using a four-acid digestion with an ICP finish and gold was assayed by 30-gram fire assay with atomic absorption (“AA”) spectroscopy finish and overlimits were analyzed by 30g fire assay with gravimetric finish.

Control samples comprising certified reference samples, duplicates and blank samples were systematically inserted into the sample stream and analyzed as part of the Company’s quality assurance / quality control protocol.

Qualified Person

The Company’s disclosure of technical or scientific information in this press release has been reviewed and approved by Stewart Harris, P.Geo., Exploration Manager for the Company. Mr. Harris is a Qualified Person as defined under the terms of National Instrument 43-101.

For additional information please contact:

Charles Funk

Chief Executive Officer Heliostar Metals Limited Email: charles.funk@heliostarmetals.com

Rob Grey

Investor Relations Manager Heliostar Metals Limited Phone: +1 778 357 1313 Email: rob.grey@heliostarmetals.com

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-Looking Information. This release includes certain statements that may be deemed "forward-looking statements". Forwardlooking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "would", "may", "could" or "should" occur. Forward-looking statements in this press release include Heliostar’s plans to continue aggressive exploration at Unga in 2021 and its goal of defining a resource in excess of one million ounces, its plan to continue infill drilling to expand

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1

to depth where the system remains open, and its belief that the SH-1 prospect has considerable potential for expansion. Although Heliostar believes that the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not a guarantee of future performance and actual results may differ materially from those in the forward-looking statements. Factors that could cause the actual results to differ materially from those in forward-looking statements include market prices, exploitation and exploration successes, weather, continued availability of capital and financing, and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. Forward-looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by applicable securities laws, the Company undertakes no obligation to update these forward-looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.

1090 West Georgia Street, Suite 700, Vancouver BC, V6E 3V7, Canada -- Tel +1 844 753 0045 TSX.V: HSTR, OTCQX: HSTXF, FRA: RGG1